The predictions on the future of employment cannot be more divergent. Some say we face huge unemployment due to the emergence of the robots. Others say the growth of the companies is highly limited to the shortage of talented workforce.
Companies around the world list the lack of specilized workforce as one of their top risks. The ‘vacancy duration’, the time to fill an open position, which is a good indicator for the availability of fitting workers, has increased dramatically. The fluctuation rate increases in a more and more stable environment. Unemployment rates are lower than 5% in a number of regions worldwide, what can be called ‘full employment’. The consequence is, that employers have to pay highly increased wages to attract skilled workers.
It is not a worldwide problem and it occures mostly not in a whole country. It appears regionally in the following parts of the world: Canada, USA, Australia, New Zealand, Middle and North Europe. And even in some Asian, Arabian, African and Middle or South American regions.
There are some obvious reasons for that problem. The Baby Boomers (which are born in the 50s and 60s) are retiring rigth now, faster than young employees can follow. The average of work hours per week is declining continously. The automation replaces widely manufacturing and other low skilled jobs but rarely higher skilled jobs (till now).
The Generation Y, the Millennials, are seeking for completely different factors at work with more flexibility, less stress, less career ambition, but they are highly motivated (i.e. they presume to be allowed to have private time for phone calls or Facebook at work, but are willing to be available and checking emails after work). And the employers are very rarely attuned to that situation.
What to do about that situation? You can employ less skilled workers and do plenty on-the-job training. Or you can educate workers by your own, i.e. right after school. But the best investment is to change your policies and culture to let your existing staff work remotely and to use the remote workforce.
As a regular reader of this blog you know all the benefits of remote work. It is not only the saved cost for offices and the ability to hire as fast as possible the best talented workers from around the world. Above all it is encouraging and motivating to your workers. That is because they will experience your trust, save time and money for commuting, have less stress and can combine work and family or hobbies in a better way. That results in happier, more productive, less sick and thriving employees.
To get a good summary, read also this blog post: ‘The Ultimate List of Remote Work Pros and Cons‘.
The best way to fight the No. 1 fear of the employers – the skill shortage – is to enable remote work. It is a win-win situation for both, the employers and the employees. It is definitively the future of work, so it is a huge advantage in the competition about the most talented workers.